25 Best Midwest Cities To Retire on $3,000 or Less Per Month

It is not uncommon for many people to entire their retirement years with little or no savings, so a very realistic budget for them to live on is $3,000 a month — with the bulk of that typically coming from Social Security benefits.

Fortunately, if you are retiring in the Midwest, there are dozens of towns where you can live on that budget. GOBankingRates recently explored data from the Social Security Administration, the U.S. Census, Sperling’s BestPlaces and more to find cities that are livable on $3,000 or less.

About 70% of the original 100 cities were in the Midwest — this list includes the 25 most expensive for that region that fit the budget.

• Livability score: 79
• Average monthly mortgage: $1,094
• Average monthly cost of living (not including housing): $1,777
• Average monthly cost of living for homeowner before Social Security: $2,871

• Livability score: 79
• Average monthly mortgage: $1,147
• Average monthly cost of living (not including housing): $1,719
• Average monthly cost of living for homeowner before Social Security: $2,866

• Livability score: 79
• Average monthly mortgage: $1,115
• Average monthly cost of living (not including housing): $1,738
• Average monthly cost of living for homeowner before Social Security: $2,853

• Livability score: 79
• Average monthly mortgage: $1,123
• Average monthly cost of living (not including housing): $1,717
• Average monthly cost of living for homeowner before Social Security: $2,839

• Livability score: 79
• Average monthly mortgage: $1,099
• Average monthly cost of living (not including housing): $1,730
• Average monthly cost of living for homeowner before Social Security: $2,829

• Livability score: 79
• Average monthly mortgage: $964
• Average monthly cost of living (not including housing): $1,840
• Average monthly cost of living for homeowner before Social Security: $2,804

• Livability score: 79
• Average monthly mortgage: $1,097
• Average monthly cost of living (not including housing): $1,702
• Average monthly cost of living for homeowner before Social Security: $2,799

• Livability score: 79
• Average monthly mortgage: $827
• Average monthly cost of living (not including housing): $1,898
• Average monthly cost of living for homeowner before Social Security: $2,725

• Livability score: 79
• Average monthly mortgage: $1,088
• Average monthly cost of living (not including housing): $1,635
• Average monthly cost of living for homeowner before Social Security: $2,723

• Livability score: 79
• Average monthly mortgage: $1,101
• Average monthly cost of living (not including housing): $1,616
• Average monthly cost of living for homeowner before Social Security: $2,718

• Livability score: 79
• Average monthly mortgage: $801
• Average monthly cost of living (not including housing): $1,910
• Average monthly cost of living for homeowner before Social Security: $2,711

• Livability score: 79
• Average monthly mortgage: $834
• Average monthly cost of living (not including housing): $1,850
• Average monthly cost of living for homeowner before Social Security: $2,684

• Livability score: 79
• Average monthly mortgage: $1,039
• Average monthly cost of living (not including housing): $1,642
• Average monthly cost of living for homeowner before Social Security: $2,681

• Livability score: 79
• Average monthly mortgage: $879
• Average monthly cost of living (not including housing): $1,769
• Average monthly cost of living for homeowner before Social Security: $2,649

• Livability score: 79
• Average monthly mortgage: $835
• Average monthly cost of living (not including housing): $1,810
• Average monthly cost of living for homeowner before Social Security: $2,645

• Livability score: 79
• Average monthly mortgage: $871
• Average monthly cost of living (not including housing): $1,767
• Average monthly cost of living for homeowner before Social Security: $2,637

• Livability score: 79
• Average monthly mortgage: $907
• Average monthly cost of living (not including housing): $1,729
• Average monthly cost of living for homeowner before Social Security: $2,636

• Livability score: 79
• Average monthly mortgage: $783
• Average monthly cost of living (not including housing): $1,835
• Average monthly cost of living for homeowner before Social Security: $2,618

• Livability score: 79
• Average monthly mortgage: $593
• Average monthly cost of living (not including housing): $2,019
• Average monthly cost of living for homeowner before Social Security: $2,612

• Livability score: 79
• Average monthly mortgage: $612
• Average monthly cost of living (not including housing): $1,943
• Average monthly cost of living for homeowner before Social Security: $2,555

• Livability score: 79
• Average monthly mortgage: $624
• Average monthly cost of living (not including housing): $1,880
• Average monthly cost of living for homeowner before Social Security: $2,503

• Livability score: 79
• Average monthly mortgage: $742
• Average monthly cost of living (not including housing): $1,733
• Average monthly cost of living for homeowner before Social Security: $2,475

• Livability score: 79
• Average monthly mortgage: $565
• Average monthly cost of living (not including housing): $1,768
• Average monthly cost of living for homeowner before Social Security: $2,333

• Livability score: 80
• Average monthly mortgage: $1,096
• Average monthly cost of living (not including housing): $1,808
• Average monthly cost of living for homeowner before Social Security: $2,903

• Livability score: 80
• Average monthly mortgage: $1,047
• Average monthly cost of living (not including housing): $1,836
• Average monthly cost of living for homeowner before Social Security: $2,883

Travis Woods contributed to the reporting for this article.

Editor’s note: Photos are for representational purposes only and might not reflect the exact locations listed.

For this study, GOBankingRates analyzed cities across the United States to find the best places to retire for under $3,000 a month. First GOBankingRates used the U.S. Census American Community Survey to find cities and basic information including total population, total households, household median income and population ages 65+. The cost-of-living indexes were sourced from Sperling’s BestPlaces and include the grocery, healthcare, housing, utilities, transportation and miscellaneous cost of living. Using the cost of living indexes and the national average expenditure costs, as sourced from the Bureau of Labor Statistics Consumer Expenditure Survey, the average expenditure cost for each location was calculated. The average single-family home value and the average rental cost was sourced from Zillow Home Value Index and Zillow Observed Value Index for December 2024. Using the average home value, assuming a 10% down payment, and using the most recent national average 30-year fixed mortgage rate, as sourced from the Federal Reserve Economic Data, the average mortgage was calculated. Using the average mortgage, average rental costs and average expenditure costs, the average cost of living for homeowners and renters was calculated. Livability indexes were sourced from AreaVibes and included to determine the quality of life for each location. The average Social Security benefits were sourced from the Social Security Administration and used to calculated the cost of living for homeowners and renters after Social Security. The cities were sorted to show the highest livability locations first. All data was collected on and is up to date as of Jan. 30, 2025.